Renouvellement ou prolongation de la durée de la concession
The agreement can be renewed for another additional years mutually agreed between the parties. The agreement shall be renewed on the same terms and conditions. If any of the parties wish to renew the agreement, it shall inform the other party at least 6 months before the expiration of the contract period.
Etude sur l'impact environnemental et plan de gestion
Horizon Plantations bears an obligation to conduct environmental impact assessment and deliver the report within 3 months of execution of the agreement
Horizon Plantations shall bear the obligation to provide good care and conservation of the leased land, with particular obligations to: (a) conserve tree plantations that have not been cleared for earth works, (b) apply appropriate working methods to prevent soil erosion in "slopping" areas, and (c) observe and implement all legislation providing for natural resource conservation
The Ministry of Agriculture undertakes to provide special investment privileges such as exemptions from taxation and import duties of capital goods and repatriation of capital and profits granted under the investment laws of Ethiopia
The Ministry of Agriculture undertakes to provide special investment privileges such as exemptions from taxation and import duties of capital goods and repatriation of capital and profits granted under the investment laws of Ethiopia
Restrictions sur les transactions avec les parties liées
Dividing the leased land among shareholders to develop in an independent way or subleasing to any party is strictly forbidden and shall result in the termination of the agreement
There shall be a 3-year grace period for the land rent. The rent during this period will be prorated over the remaining years annually, commencing from the date of execution of the agreement. After 3 years, the annual lease rate per hectare for use of agricultural investment shall be birr 158 per hectare (making a total of birr 3,160,000 for all hectares). The total amount payment of contract shall be birr 79,000,000. There shall be 1 year down payment for the concession land. The Ministry of Agriculture reserves the right to revise the lease payment rate as the need may arise. Once the annual land lease rent becomes payable upon completion of the grace period, Horizon Plantations has the obligation to settle the current annual land rent, including the prorated amount of the grace period, to the regions where the land is located during the months December up to June every year as per predetermined lease rate for rural lands.
Horizon Plantations has the right to build infrastructure, such as dams, water boreholes, power houses, irrigation system, roads, bridges, offices, residential buildings, fuel/power supply stations/outlets, health/hospitals/dispensaries, education facilities, at its discretion upon consultation and submission of a permit request with concerned offices, subject to the type and size of the investment project whenever it deems so appropriate.
Upon expiry or termination of the agreement or revocation of the investment license, Horizon Plantations shall remove assets installed on the leased land in good order and hand over the leased land to the Ministry of Agriculture within 1 year
Horizon Plantations has to execute all development activities as per the agreed business plan. In case of any change or deviation from the business plan, it has to be reported with justification to the Ministry of Agriculture.
La sécurité physique ou la protection de la propriété
The Government shall ensure that during the period of the lease, Horizon Plantations shall enjoy peaceful and trouble-free possession of the premises and be provided with adequate security, on its request and free of cost, for carrying out its activities in that premises, against any riot, disturbance or any other turbulent time, other than force majeure. The Government shall protect the right of Horizon Plantations to the peaceful possession, use and quiet enjoyment of the leased area.
Horizon Plantations should take over the leased land within 30 days of execution of the agreement by making the down payment of 1 year's rent. Horizon Plantations is expected to start developing the land within 6 months of the date of execution of the agreement, or from the date that it receives final clearance from the Government, whichever is later. Horizon Plantations has to execute all development activities as per the agreed business plan. It shall develop 1/4 of the leased land within the first year from the date of signing of the agreement or from the date of receipt of all clearances from the Government, whichever is later. It shall develop the entire plot of leased land within 4 years. Horizon Plantations shall not make any unauthorized use of the leased land beyond the predetermined purpose, objective or plan as permitted under the agreement without express consent of the Ministry of Agriculture in writing.
If a dispute arises between the Ministry of Agriculture and Horizon Plantations that is out of or in connection with this agreement, both parties will do their utmost to resolve the dispute amicably and to their mutual satisfaction. If they are unable to achieve such a settlement, the dispute shall be referred to the Ethiopian Federal Court.
Horizon Plantations has no right to transfer the land or properties developed on the land in favor of any other company or individual unless 75% of the leased land is developed. Upon developing 75% of the land, Horizon Plantations can transfer the land or properties developed on the land in favor of any other company or individual only with the prior permit of the Ministry of Agriculture. Horizon Plantations shall not have the right to transfer the remaining land which is not developed.
Horizon Plantations has the right to terminate the land lease agreement subject to at least 6 months' prior written notice upon justified good cause. The Government has the right to terminate the land lease agreement subject to at least 6 months' prior written notice (i) for better public benefit, (ii) on the grounds of failure to develop the land within the time limits in accordance the contract obligation, (iii) on the grounds of any damage on the natural resources, or (iv) on the grounds of non-performance of due payment of lease charge. In the case of (ii), (iii) and (iv) above, if Horizon Plantations does not address such issue, the Government may extend the time period for such compliance or terminate the agreement. The land lease agreement may be terminated for a number of reasons, including upon (9.3) failure of the Government to fulfill or observe any of its obligations or covenants in the lease after Horizon Plantations has given written notice of 6 months and the Government fails to perform, (9.4) failure of Horizon Plantations to settle annual rental and other relevant tax payments for 2 consecutive years, (9.5) failure of Horizon Plantations to perform its obligations in the lease after the Government has given a 6 months' written notice calling upon them to observe and perform such obligations. The Government has the right to restore any land which is not developed with 6 months' advance notice and after Horizon Plantations has not cured the failure within 1 year.
Horizon Plantations shall provide correct data and investment activity reports upon request by the Ministry of Agriculture. The Ministry of Agriculture has the right to monitor and establish whether Horizon Plantations is discharging and accomplishing its obligations diligently.